that Similar arguments apply to Hong Kong's textile agreements
th other developed countries. In general, I think it
must be recognised that taking the longer view over the
period 1973 to 1981 (the expected termination date of the
EEC's new bilateral agreements the Hong Kong textile
industry will be seen to have done well out of its trading
relationship with the Community.
8. From the Commission's time-table and from the very
nature of its scheme, it is clear that there will be relatively
little room for manoeuvre in the bilateral negotiations.
Nevertheless I believe that, using their normal skill, I shorld to the sudprised if
Hong Kong's negotiators will be able to push up the Community's
offer a little. But I am sure that they will have to accept
figures below 1976 sendings, and the margin for manoeuvre
will be realtively small. I accept also that HM Government
has a responsibility to present Hong Kong's case. This
we have already done in conversations with Tran. We intend
to continue pressing in Brussels at a higher level, for
some improvements in the terms to be offered to Hong Kong.
But our ministers will not agree to any arrangement which
would imply the exceeding of the global ceilings. Consequently
our margins of manoeuvre within the Community will also be
relatively small.
9.
J
I recognise that this will be a bitter pill for Hong Kong
to swallow, but I believe, for the reasons set out above that
it is necessary for Hong Kong to make sacrifices of this
order. I also understand the problems you will have in
convincing Hong Kong's opinion of this necessity.
With this
in mind, I therefore see great value in an early visit to
London where I hope you will have the opportunity to meet FC Ministers and
fully work while
272
Towers,
Mr Dell. I do not believe that such a visit will be valuabl
util we have the Commission's full breakdown of quota
figures across all the supplying countries. you should aim at a visit towards the end of next week and
I think therefore
/ I